Associa, the world's largest manager of homeowners associations, is the subject of the latest episode of the Building Texas Show. Host Justin McKenzie interviews founder and CEO John Carona at the company's Richardson headquarters, covering the company's 49-year history, the role of HOAs in Texas, and Associa's expansion into Europe.
Carona started Associa about 18 months after graduating from the University of Texas at Austin, where he worked three jobs to pay for school. 'We started out with just two employees, myself and one rather elderly assistant who I loved dearly,' he told McKenzie. The company now employs 24,000 people, growing 'one client at a time' through organic growth and acquisitions. Associa has acquired more than 200 companies and adds 25 to 30 management firms annually.
Carona addressed common misconceptions about HOAs, emphasizing their financial importance. 'The most important thing homeowners associations do is they preserve the value for the owners themselves by adding some degree of conformity, some reasonable rules and regulations,' he said, noting that property values in communities with mandatory HOAs grow faster than those without. He also cited surveys showing that over 95% of residents appreciate their community association experience, though 4-5% do not. Associa surveys every board of directors three times a year to address issues early.
When asked what sets Associa apart, Carona highlighted technology and employee training. 'We live in the Amazon age. People want more for less, and there's nothing wrong with that,' he said. 'That same technological application applies with community associations, and we have to be able to do a better job, a more timely job, and do it for lower dollars.' Associa operates 340 branch offices across 44 states, allowing employees to move markets without leaving the company. Employees have voted Associa a national best place to work for nine consecutive years. 'Nothing makes me prouder than that,' Carona said.
Associa recently acquired the number two operator in Spain, its first large international purchase, and expects to be the number one operator in that market by December. Carona described it as the first step in a three-to-five-year rollout across Europe, with the UK, France, Italy, and Germany on the list. He noted that while vocabulary differs—Canada calls them stratas—the work remains the same.
For homeowners in Texas's booming triangle, Carona advised scrutinizing transportation, location, and build quality, as Texas does not license builders. 'From time to time, bad actors can come on the scene,' he warned. The full episode is available now wherever you get your podcasts.
